Sofi Technologies Inc (NASDAQ:SOFI) shares are trading higher Wednesday after the company reported better-than-expected fiscal fourth-quarter financial results and issued guidance above estimates.
SoFi reported quarterly adjusted revenue increased 54% year-over-year to $279.88 million, which beat the $279.29 million estimate. The company stated a quarterly earnings loss of 15 cents per share, which beat the estimate for a loss of 17 cents per share.
Sofi was up 3.62% at $11.61 at publication Wednesday.
Sofi Daily Chart Analysis
- The stock price recently fell below support in what traders call a descending channel pattern. But in the past few days, it has been making an effort to reclaim the level as it has been climbing back toward it once again. The $14 area was holding as support on the chart for a time as the stock struggled to break below the level. Now, the stock is heading back toward the level and it may act as resistance and be tough to cross.
- The stock trades below both the 50-day moving average (green) and the 200-day moving average (blue). This indicates bearish sentiment, and each of these moving averages may hold as an area of resistance in the future.
- The Relative Strength Index (RSI) has been pushing higher the past few days and now sits at 50 on the indicator. This shows that the buying and selling pressure is equal to one another. The RSI has been increasing and if it continues, soon more buyers will be present in the market.
What’s Next For Sofi?
The break below the support level was a bearish sign for the stock, but it can't be counted out just yet. The stock is approaching the support level and is looking to recover it. If unable, it will be another bearish sign for the future. Bears are hoping to see the stock not cross back above the level and want it to hold as resistance. This shows that where buyers were once found there are now sellers. This could bring about a strong bearish move. Bullish traders are looking to see the price break above the $14 level again and be able to hold above it as the stock used to. This could hint an upward push is coming in the future.
Photo: Mohamed Hassan from Pixabay
